Project-affected to be made stakeholders

SummaryThe state government will make around 30,000 persons—from 10,000 families that would be displaced by the proposed Navi Mumbai airport—as shareholders in the airport project.

The state government will make around 30,000 persons—from 10,000 families that would be displaced by the proposed Navi Mumbai airport—as shareholders in the airport project.

Each of the 10,000 families, according to a senior bureaucrat, would be allotted 100 shares of face value of Rs 10 each to become stakeholders. The project-affected people (PAPs) would also be eligible for compensation for their land at market rates, 12.5 per cent of the land acquired after being developed, Rs 2 lakh for constructing a house and an amount equivalent to one year’s wages if the PAP work on daily wages.

“The idea in making them (PAPs) shareholders is to involve them in the project as stakeholders and ensure them returns in future,” the official said. “They will have the option of selling their shares, the value of which would appreciate, if they want. Making them shareholders would enhance cooperation with PAPs and end hostility.”

He said a ‘land use’ plan of the new airport had been worked out with 650 hectares being declared as ‘green zone’ to serve as a buffer zone of no-development. Of the land use plan for 2,170 hectares, the airport would be situated over 1,150 hectares. The CIDCO, which has 26 per cent equity in the project, would execute the project with a private partner. The MIAL has been given the first right of refusal and bidding process is expected to start in June.

Around 450 hectares of private land will be acquired for the project and would affect 10 villages. A panel has been constituted by the government to negotiate with the PAPs.

The first plane is expected to take off by January 2014 from the new airport that is estimated to cost Rs 9,500 crore.

He said the government was planning to apply the same formula (of making PAPs shareholders) to the forthcoming Jaitapur nuclear power project, where locals were opposing the project.